By David Jagielski, CPA, The Motley Fool
Publication Date: 2026-02-06 15:20:00
Although CoreWeave’s stock is hot of late, it’s still down more than 50% from its highs.
CoreWeave‘s (CRWV +20.03%) stock went public nearly a year ago, back in March 2025. It has been a key stock for artificial intelligence (AI) investors to focus on, due to its close relationship with Nvidia (NVDA +8.01%). It gives companies access to compute power and Nvidia’s leading chips, thus making it an attractive investment if you’re bullish on the AI trade and Nvidia’s continued dominance.
Nvidia has also invested in CoreWeave. Recently, it also increased its stake in the business by $2 billion. The sign of confidence has given CoreWeave’s stock a big bump, and it’s now up 26% since the start of the year. Should you buy the AI stock as well?
Image source: Getty Images.
Does a deeper partnership with Nvidia make CoreWeave a safer stock to invest in?
By adding another $2 billion in CoreWeave stock (approximately 23 million shares), Nvidia has nearly doubled its stake in the business, making it the second-largest investor in the tech company. The cash flow will help CoreWeave build out more capacity and data centers, positioning it for better growth opportunities due to AI.
But whether that makes the stock a safer investment is debatable. CoreWeave has struggled to generate profits, despite amassing incredible top-line growth. During the first nine months of 2025, the company’s revenue tripled to $3.6 billion, but its net loss of $715 million was just 12% smaller than the $812…